| A.   | Cadiz is a publicly traded company that owns approximately 35,000 acres of land in eastern San Bernardino County (the “Property”), which Property is presently used for the production of agricultural and is the planned location for a water conservation and water banking project (the “Project”); |
|----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| B.   | Cadiz is a going agricultural concern with production wells and monitoring wells on the Property; |
|----------------|---------------------------------------------------------------------------------------------------|

| C.   | Layne is a publicly traded company that provides a full line of water-related services and products including hydrological studies, site selection, well design, drilling and well development, pump installation, and repair and maintenance; |
|----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| D.   | CH2M Hill previously provided an opinion to Cadiz on the total quantity of recoverable water that can be extracted from the Property, as well as the minimum quantity of water that flows across the Fenner Gap and then evaporates from the Cadiz and Bristol Dry Lakes; |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| E.   | The Parties acknowledge that the process of peer reviewing the opinion provided by CH2M Hill will require the collection of additional field data, namely the development of two test wells (“Test Wells”) within Section 18 of the Property, as generally depicted in Exhibit “A” attached hereto; and |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| F.   | Layne initially estimated the cost of collecting the field data necessary to complete the peer review of the Test Wells at approximately $690,050.00, and a final bid contract was executed and is attached hereto as Exhibit “B.” |
|----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| G.   | In drilling the first test well (TW-1), Layne encountered coarse alluvial material and lost circulation of its well when it entered the carbonates and it has requested Cadiz to renegotiate the existing bid contracts. |
|----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| H.   | Layne has prepared a revised estimate to account for the physical circumstances and to provide for a pump test in the alluvium at TW-1 and TW-2, which revised estimate is attached hereto as Exhibit “C.” |
|----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| I.   | Layne and Cadiz desire to confirm their ongoing relationship with respect to the Project. |
|----------------|-------------------------------------------------------------------------------------------|

|   | (a) | Drilling of bore holes; |
|--------|-----|-------------------------|

|   | (b) | Drilling and completion of monitoring wells, completion of test wells, completion of production wells, and completion of aquifer, storage and recovery wells; |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | Servicing the wells and pumps currently on the Property and any that may be drilled in the future.  This work includes any well service, preventative maintenance and well rehabilitation of all wells existing or newly constructed. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | Furnish and install new and replacement pumping equipment for shallow/deep wells, and booster applications. |
|--------|-----|-------------------------------------------------------------------------------------------------------------|

|   | (e) | Pipeline installations. Layne will be considered a preferred provider of pipeline services and therefore it will be given a fair opportunity to bid on the installation of a pipeline and any pipeline related proposals to convey water to and from the Project and on the Project site.  Cadiz will not select another contractor unless and until it meets and confers with Layne.  However, if Cadiz determines, in its complete discretion, that it desires to use another contractor for pipeline related services while exclusively using Layne for the services identified in 1(a) through 1(d) above, then this Agreement will remain in full force and effect and no further compensation will be due to Layne for pipeline services or otherwise. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| If to Cadiz:    | Tim Shaheen, CFOCadiz, Inc.550 S. Hope Street, Suite 2850Los Angeles, CA 90071                  |
|-----------------|------------------------------------------------------------------------------------------------------|
| With a copy to: | Scott SlaterBrownstein Hyatt Farber Schreck, LLP21 East Carrillo StreetSanta Barbara, CA 93101  |
| If to Layne:    | Bob Ereth, General ManagerLayne Christensen Company11001 Etiwanda AvenueFontana , CA 92337      |

| CADIZ, INC.                | LAYNE CHRISTENSEN COMPANY        |
|----------------------------|----------------------------------|
|                       |                             |
| /s/ Scott S. Slater        | /s/ Robert A. Ereth              |
| Scott S. Slater  | By:  Robert A. Ereth   |
| General Counsel       | Its:  General Manager  |
|                       |                             |

----

| A.   | The Parties signed that certain Services and Exclusivity Agreement dated as of November 2, 2009; |
|----------------|--------------------------------------------------------------------------------------------------|

| B.   | The Parties desire that Layne also perform the services described in that certain Project Estimate (“Project Estimate”) for the TW-2(B) Test Hole (“TW-2(B) Well”); and |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| C.   | The Parties desire to amend the Agreement to include the TW-2(B) Well. |
|----------------|------------------------------------------------------------------------|

|   | AGREEMENT |
|--------|-----------|

| CADIZ, INC.                | LAYNE CHRISTENSEN COMPANY        |
|----------------------------|----------------------------------|
|                       |                             |
| /s/ Scott S. Slater        | /s/ Robert A. Ereth              |
| Scott S. Slater  | By:  Robert A. Ereth   |
| General Counsel       | Its:  General Manager  |
|                       |                             |

----

| A.   | The Parties signed that certain Services and Exclusivity Agreement dated as of November 2, 2009 (“Original Agreement”); |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------|

| B.   | On or about January 4, 2010, the Parties signed that certain Amendment No. 1 to Services and Exclusivity Agreement (“Amendment No. 1”); |
|----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------|

| C.   | The Parties desire to confirm the amount of payment owed to Layne under the Original Agreement; |
|----------------|-------------------------------------------------------------------------------------------------|

| D.   | The Parties desire that Layne also perform the services described in that certain Project Estimate (“Project Estimate”) for the TW-3 Test Hole (“TW-3 Well”), which Project Estimate is attached hereto as Exhibit A; and |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| E.   | The Original Agreement, as amended by Amendment No. 1 may hereafter be referred to as the “Agreement”. |
|----------------|--------------------------------------------------------------------------------------------------------------------|

|   | AGREEMENT |
|--------|-----------|

| CADIZ, INC.                | LAYNE CHRISTENSEN COMPANY        |
|----------------------------|----------------------------------|
|                       |                             |
| /s/ Scott S. Slater        | /s/ Robert A. Ereth              |
| Scott S. Slater  | By:  Robert A. Ereth   |
| General Counsel       | Its:  General Manager  |
|                       |                             |